The Trump Effect: Foreign buyers, especially from India and China Going Back Now!

The Donald Trump administration in the United States is marked with several reforms at the administrative level which is showing a significant impact on the immigration population across the country.

Foreign buyers, especially from India and China, are now stepping back from buying homes in the United States. This change is mainly because of new policies introduced by Donald Trump after returning as U.S. President in 2025.

His administration has made immigration rules stricter, added new taxes (tariffs) on foreign countries, and placed more limits on overseas investments in U.S. real estate. These actions have made international investors feel uncertain and unsafe about putting money into American properties.

One major example is Canada. In May 2025, searches by Canadians for homes in the U.S. dropped by 26.4%, continuing a four-month decline. This started after Trump added a 25% tax on Canadian goods. Buyers from many countries are feeling the impact, and fewer people are looking to buy homes in the U.S.

Even though foreign investment in U.S. real estate reached $56 billion between April 2024 and March 2025—33% more than the previous year most of that came before the new rules were announced. Now, with these changes, experts believe that future investment from countries like Canada, China, and India could drop even more.

In short, the combination of high home loan rates, political tensions, and strict rules is making it harder for foreign buyers to invest in U.S. housing, which could hurt the real estate market.